HI SB16

Allows the Hawaii Housing Finance and Development Corporation to guarantee loans from commercial lenders for transit-oriented development projects that include affordable housing located in county-designated transit-oriented development zones.

Loan guaranties are subject to executive director approval based on project location within a designated zone and the lender's completion of due diligence with adequate collateral.

Sets maximum loan terms of 10 years for operating costs and 20 years for capital improvement costs, with interest rates at one percent below the commercial lender's prime rate.

Limits loan guaranties to 85 percent of outstanding principal amount per loan, with total guaranteed principal across all loans capped at $10,000,000.

Defines transit-oriented development as land use projects with concentrated mixed uses that support transit ridership; effective July 1, 2011.